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2023 will be a better year for homebuyers, mortgage holders, investors and people sick of greed

2023 will be a better year for homebuyers, mortgage holders, investors and people sick of greed

Interest rates remain high, inflation is not letting up and there is talk of a recession this year. Now that we’ve eliminated the negatives, let’s look at some positives for your finances and investments in 2023. Yes, there are. The end of interest rate hikes The central bank had eight opportunities to adjust its overnight …

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My five confident predictions for the mortgage market in 2023

My five confident predictions for the mortgage market in 2023

Welcome to Mortgage Rundown, a brief overview of the mortgage finance landscape in Canada by mortgage strategist Robert McLister. Canada’s economy will get ugly in 2023. Runaway inflation always has an unhappy ending. That’s the bad news. The good news is that ugliness does not last. Our central bank will likely be forced to reverse …

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This completely boring ETF is the investment product of the year

This completely boring ETF is the investment product of the year

Rising interest rates in 2022 have made a star of a type of exchange-traded fund that has lived in the shadows for most of the past decade. Cash-equivalent ETFs, also known as high-interest savings ETFs, ended the year with after-fee returns of around 4.6% and a very comfortable risk profile for investors baffled by stock …

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A playlist of 2022 personal finance successes that will reappear next year, unfortunately

A playlist of 2022 personal finance successes that will reappear next year, unfortunately

The biggest successes in personal finance – or rather, personal finance – this year have been like punches in the face. Why dwell on a year of beatings? The reason for this is that we are heading into a year of even greater uncertainty for household finances, including a possible recession. Understanding where we came …

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A reality check - for better and for worse - on how homes perform as an investment

A reality check – for better and for worse – on how homes perform as an investment

Fred Lum/The Globe and Mail If houses are investments, they are subject to the rigorous calculation of investment losses. However much an asset’s price drops, it must rise by a higher percentage just to get back to where it started. The national average resale home price peaked at $816,720 in February and has since fallen …

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Yes, banks take advantage of borrowers who are pressured by higher rates.  But there's more to the story

Yes, banks take advantage of borrowers who are pressured by higher rates. But there’s more to the story

December 7 will be a good day for Canadian banking. The Bank of Canada has the opportunity to adjust its overnight rate on that day, and an increase of 0.25 to 0.5 percentage points is widely expected. Like flipping a switch, banks would replicate this increase in their prime rate and, in turn, variable rate …

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Will Ed and Lisa be able to retire next year with an income at least equal to what they have now?

Will Ed and Lisa be able to retire next year with an income at least equal to what they have now?

November 8, 2022. Amber Bracken for The Globe and MailAmber Bracken/The Globe and Mail Ed and Lisa would like to retire next year with an income “at least equal to or greater than what they have now,” Ed wrote in an email. He is 62, she is 63. Ed earns $95,550 a year working for …

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High interest rates are an attack on young Canadians

High interest rates are an attack on young Canadians

Young homeowners are perfectly positioned to derive virtually no benefit from higher rates, even though they have the maximum exposure to rising borrowing costs.COLE BURSTON/The Canadian Press It is impossible for interest rates to rise sharply without a high degree of inequity in the way people are affected. Take borrowers and savers, for example. If …

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Do you have a safety net?  The coming recession could be the most unfair of all time

Do you have a safety net? The coming recession could be the most unfair of all time

Gasoline prices above US$7.00 a gallon are displayed at a Shell gas station October 3 in San Francisco, California.Justin Sullivan/Getty Images The next chapter in financial inequality will be the divide between those who can afford to prepare their household finances for the coming recession and those who cannot. Maintaining a cash reserve protects you …

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